Stock market activity heavily decreases if mothers (or parents and guardians in general) who are in the workforce are absent from their jobs because they are accompanying their kids to the first day of school, according to research published in the Journal of International Financial Markets, Institutions and Money conducted by Zvi Wiener, a Professor of Banking and Risk Management at the Hebrew University of Jerusalem.
Many young parents accompany their nervous children to the first day of school.
The research included more than 600 participants from over two dozen countries and asked whether they accompanied their child on the first day of school. Women's labor was also analyzed as well as their trading volumes during their kids' first day.
“By isolating and cross-referencing these data points, we were able to see the effect of working women on trading volumes by paying close attention to what happens to market activity when those women are absent,” Wiener explained.
According to the research, in 2018 there was no difference regarding gender as to who accompanies the kid to school.
Back in the 1960s, most countries reported that trading volume had lowered on the first day of school.
Weiner wanted to know the relation between social considerations and stock markets through this research.
“By focusing on the first day of school, we were able to pinpoint the decrease in trading volume and determine that it was related to the level of female workforce participation,” he explained.